Egypt seeks to turn into regional hub for electricity supply

The Egyptian response to the Libyan request was made in light of Libya’s electric power crisis as the country suffers from daily power cuts and a major power supply deficit.

The electricity generation deficit in Libya hit 1,000 MW in the winter season and 2,500 MW in the summer, according to previous press statements by Ibrahim Falah, general manager at General Electricity Company Of Libya (GECOL).

Osama al-Saeiti, adviser to the GECOL general manager for technical affairs in the eastern region and former executive director of the company’s operating affairs, told Al-Monitor that Libya needs 6,500 MW to meet its consumption needs in the winter season and 8,000 MW in the summer. But, he added, GECOL generates 5,500 MW only. Although there are 10 power stations operating in Libya, they do not generate the needed electricity due to lack of maintenance, he explained.

Saeiti added, “The electricity sector [in Libya] managed to overcome the challenges in the past six years, namely a power generation deficit of 15% to 20%. Egypt, for its part, turned from a country failing to meet its demand in electricity to a country exporting electricity, which is an important accomplishment after reforming the country’s infrastructure. There is now a surplus of electricity generated, which allows the electricity sector to join a number of power interconnection projects with neighboring countries, increase foreign investments and develop several strategic projects.”

In January 2021, Shaker reviewed the PIDA PAP2 project during the ministerial meeting of the first session of the African Union Specialized Technical Committee (STC) on Transport, Infrastructure, Intercontinental and Interregional Infrastructure, Energy and Tourism (STC-TTIIET). The PIDA PAP2 project consists of a list of 73 key infrastructure projects, including three projects relating to Egypt, namely the construction of a shipping line connecting Lake Victoria and the Mediterranean Sea, the establishment of the Egypt-Sudan power interconnection project — which will be the first stage of a wider interconnection project with South Africa via the Cairo-Cape Town route — and the construction of a new Egypt-Libya interconnection project as the first stage of the electricity interconnection project among North African countries.

Egypt’s Ministry of Electricity began implementing the first steps to turn Egypt into a global energy hub by launching in January 2020 the first phase of the electricity interconnection project with Sudan with an initial capacity of 70 MW, which would later be increased to 2,000 MW. The project will connect Egypt to Ethiopia, and subsequently to the rest of Africa. 

In his interview with Al-Monitor, Shaker stressed that his ministry attaches great importance to the electricity interconnection projects, and noted that Egypt is actively participating in all regional electricity interconnection projects, including with Jordan and Libya. The first phase of the interconnection project with Sudan was completed, he said.

Shaker said that work is also in progress to complete the joint electricity interconnection project between Egypt and Saudi Arabia, and that the PIDA PAP2 project relating to the African continent is currently being assessed with the aim to benefit from the huge hydropower capacity in Africa. He stressed his ministry’s ultimate objective to turn Egypt into a regional energy exchange hub with Europe, and Arab and African countries through these projects.